Investing in green energy will hurt the country in the short run, but help greatly in the long run. This is a case where the free market would eventually fail the United States, as there would never be a market for green energy until we either run out of oil or simply get cut off, and by then it would be too late to do anything about it.
The free market concept usually works up to a certain point, but if you want to push something in a certain direction, you have to give it a nudge, or else you end up in a situation just like you describe. There has to be an incentive to go that route.
More folks are starting to realize that going green will eventually prove to be beneficial for a multitude of reasons, but we're not going to get there until we either let oil prices drive us in that direction, or we run out of oil, as you mention...if we let the free market drive everything.
We can impact supply by electing to not open up drilling domestically, so that would be the route I'd go. However, with an election coming, I'm sure we'll see increased domestic production and nothing done about pushing green technologies until 2013. God forbid we tell Joe Durango that he made a stupid decision by buying the oversized SUV that he commutes 50 miles every day with that maybe, just maybe, he should have bought a Kia.
Oh, and the Patriot Act still sucks and should be repealed. If you're that worried about terrorism, you may as well not leave the house.